- Finance Minister presents Rs. 229 billion relief package, but its sourcing funds unclear
- Basil misses second chance to meet Modi, Govt. prepares for Chinese FM
- Govt. to initiate dialogue with China and Japan to secure financial package
- PM stands firm, resists whisper campaigns seeking his ouster
- Governing alliance divided over Susil’s sacking, more dissent in the ranks
- Ministry secretaries also set for big reshuffle after Senarath replaces PB
The Government has launched 2022 with a bang, with President Gotabaya Rajapaksa sacking one of his state ministers, Prime Minister Mahinda Rajapaksa announcing he has no plans of stepping down any time soon despite an underground campaign carried out against him by powerful factions of the Government, and Finance Minister Basil Rajapaksa presenting a relief package worth billions of rupees, on top of the 2022 Budget that was passed last month.
The Government has also turned towards rebuilding relations with India, with the signing of the Indo-Lanka joint development project of the Trincomalee Oil Tank Farm serving as a confidence building measure between the two countries after India suffered major disappointments in relation to several key projects.
Meanwhile, on the local political stage, the sacking of State Minister Dr. Susil Premajayantha has resulted in the Government being further criticised for stifling dissenting voices within its ranks. The Finance Minister’s Rs. 229 billion New Year bonanza announced last week has left everyone, including Government ministers, wondering how the funds required for the package will be raised at a time the country is staggering under ceaseless waves of economic challenges.
There are several methods for a government to raise funds – cutting expenditure, increasing taxes, or obtaining loans. However, in the case of Sri Lanka, the latest addition to the list is money printing.
Central Bank in the dark?
It is reliably learnt that the Central Bank of Sri Lanka (CBSL) was unaware of the Finance Minister’s New Year package until after the Cabinet meeting last Monday (3).
Given the state of the country’s economy at present and the challenges posed as a result, one would expect the Finance Ministry and CBSL to be in constant contact to ensure there are rapid responses to issues that arise on a daily basis. In this backdrop, it is interesting that the CBSL Governor’s attempts to hold a discussion on the economic situation with the Finance Minister have come to naught during the past few weeks.
Furthermore, CBSL Governor Ajith Nivard Cabraal and Treasury Secretary S.R. Attygalle were to attend last week’s Cabinet meeting to discuss the plight of the country’s economy. However, it was later decided not to invite Cabraal and Attygalle for last Monday’s meeting, apparently due to time constraints due to the large number of Cabinet papers that were scheduled to be taken up that day.
Last week’s Cabinet meeting, following the discussion with Cabraal and Attygalle, was to make a final decision on whether the Government would seek assistance from the International Monetary Fund (IMF).
However, Finance Minister Rajapaksa presenting Cabinet paper number 49 stated that despite calls from many quarters to seek IMF support to overcome the current economic challenges, the Government could manage without going before the Fund if the country received the anticipated revenue from tourism, foreign remittances, exports, and infrastructure projects.
In his 10-page Cabinet paper, Basil has noted that debt repayment for 2022 stands at $ 6.9 billion while $ 1,300 million is required for debt servicing in January 2022 and $ 3,100 million for the first quarter for this year.
He has further noted that a revenue of $ 32 billion is expected for this year from goods and services exports.
Basil then played the role of a late season Santa Claus by presenting a list of a series of welfare measures to the public sector, including allowances, pensions, and Samurdhi payments, while also addressing the salary anomalies of teachers. Following the Cabinet meeting, the Minister announced details of the Rs. 229 billion economic relief package to the media.
New Year bonanza
Finance Minister Rajapaksa told a press conference last week that the Cabinet had decided to grant an allowance of Rs. 5,000 to State workers while pensions would also be increased by Rs. 5,000. The allowance for disabled soldiers will also be increased by Rs. 5,000. Owners of private companies are to also be requested to increase salaries of staff.
Meanwhile, a stimulus package was also announced for home gardens under which Rs. 5,000 will be paid for growing crops in home gardens which are up to 20 perches in size, and Rs. 20,000 for those with home gardens extending from 20 perches to one acre.
“We encourage people to grow food crops in their home gardens in order to avoid a scarcity of food,” Basil told the media.
The relief package further included compensation for farmers for reduced harvests. “We expect the Maha harvest to see a 30-40% decline and therefore farmers will be paid an extra Rs. 25 per kilo of paddy,” the Minister noted.
He further stated that 15 kilos of wheat flour would be provided at Rs. 80 a kilo for estate workers.
According to the Finance Minister, medicine and essential food items will be exempted from tax.
“The Government was planning the relief package for the people who were hit by the pandemic even before the Budget,” Basil noted.
The Minister also announced that the Cabinet had decided to commence dialogues with donor countries and agencies, including the IMF, World Bank, and Asian Development Bank, stating that “donor agencies have issued reports on Sri Lanka which comprise mixed reactions on Sri Lanka’s performance”.
A minister dedicated to negotiations with each country and agency will be appointed shortly, according to the Minister.
Power crisis looms
Just a few days after the Finance Minister announced his New Year bonanza, the Ceylon Electricity Board (CEB) announced one-hour scattered power cuts island-wide on Friday (7) evening with trade unions attached to the CEB stating that the country was undergoing a power crisis.
The CEB stated that the one-hour scattered power cuts would take place between 5.30 p.m. to 9.30 p.m. island-wide after dividing the country into four divisions.
The power cuts will be imposed as furnace oil has not been provided to the CEB by the Ceylon Petroleum Corporation (CPC), the CEB has stated.
The CEB Engineers Union on Friday stated that Sri Lanka was already facing a power crisis and had been forced to temporarily shut down some of its power plants.
The Sapugaskanda Oil Refinery and the Barge Power Plants are currently closed due to a lack of fuel.
The Barge Mounted Power Plant located at the Colombo Port premises generates 60 MW while the Sapugaskanda Power Plant generates 102 MW. This power supply has not been received by the national grid for around one week, according to CEB trade unions.
It is learnt that the CPC has not released fuel to the CEB since 23 December 2021 due to the non-payment of dues.
Meanwhile, the Kelanitissa Power Station stopped power generation on Thursday (6) while a 300 MW unit at the Norochcholai Coal Power Plant also remains inactive.
The CPC had finally supplied fuel to CEB on Friday night and the CEB had recommenced power generation from the Barge Mounted Plant yesterday (8).
However, power generation from the Kelanitissa Plant and a unit of the Norochcholai Power Plant had not resumed power generation.
CEB General Manager R.M. Ranatunge says the CPC has asked for Rs. 18 billion out of its Rs. 90 billion total dues to be paid immediately. Meanwhile, the CEB’s monthly revenue has dropped from Rs. 20 billion to Rs. 14 billion due to the moratoriums and payment extensions granted during the pandemic.
The CPC had informed the CEB three months ago that it was facing a crisis in importing fuel due to the massive dollar crisis and requested the CEB to find dollars for their fuel imports.
According to the Energy Ministry, the CEB had agreed to the CPC request for dollar payments for fuel imports on 29 December 2021.
When questioned by the media on whether the Energy Ministry could ensure a smooth flow of fuel to the CEB, Energy Minister Udaya Gammanpila stated that he could ensure the fuel supply to the country and would always inform ahead if there was going to be a fuel shortage. However, as for the supply of fuel to the CEB, the Minister said it would depend on the dollars provided by the CEB for their fuel requirements.
Saying no to IMF
With the country’s economic challenges further compounding on a daily basis, calls for the Government to seek IMF assistance keep intensifying.
However, Finance Minister Rajapaksa last week in his Cabinet paper outlined in detail why the Government should not seek IMF assistance.
Basil has noted that the country would have to face further difficulties if it sought IMF assistance as the conditions would result in a further increase in the cost of living, inflation, etc.
He outlined in the Cabinet paper that the IMF would call for the floating of the rupee, increase taxes, and introduce price formulas for fuel, power, and water and all these would result in an increase in the burdens shouldered by the masses at present.
CBSL Governor Cabraal has also been resolute in his stance that Sri Lanka should not reach out to the IMF for bailout package.
“There is nothing wrong with going to the IMF. We have to go. There is nothing else to do at this point. Our economy is in a big crisis, so there is nothing wrong with going to the IMF. But we don’t have to accept all the conditions they set,” Cabraal has stated.
The IMF however has maintained that it is prepared to hold discussions with the Government of Sri Lanka if it so wishes.
The IMF last year stated that its staff stands ready to discuss options with the Sri Lankan Government, during the visit of the fund’s representatives to Sri Lanka in December. The IMF disclosed this in response to a media inquiry regarding the Article IV mission to Colombo in December.
Meanwhile, Samagi Jana Balawegaya (SJB) MP Dr. Harsha de Silva last week questioned why the Government could not issue dollars to release the containers with essential items which were halted at the Port.
De Silva told a news conference that the public was currently suffering due to the shortage of essential items and medicines and questioned why the Government could not get these goods released since the CBSL announced that the country’s reserves had grown to $ 3.2 billion.
“Why are they hiding the country’s dollars? To whom are they going to issue dollars? The market price of the bonds that were to mature in January has dropped so much that the return on investment is 800% now,” the MP has stated.
De Silva last Friday (7) also alleged that the CBSL had sold off a significant portion of the country’s gold reserves.
“CBSL sold more than half of Sri Lanka’s remaining gold reserves. From $ 382 m, we are now down to just $ 175.4 m,” he said on Twitter.
The CBSL later confirmed that Sri Lanka’s gold reserves had declined by $ 206.8 million in December.
By the end of November, the gold reserves stood at $ 382.2 million and dropped to $ 175.4 million by the end of December.
Meanwhile, the country’s total reserves have increased to $ 3.137 billion, up from $ 1.588 billion in November, the CBSL has further stated.
However, CBSL last week announced that the forex required for the $ 500 million International Sovereign Bond (ISB) that is maturing on 18 January had been allocated.
Cabraal in a tweet on Wednesday (5) stated that it was a shame that some investors had lost out due to the spread of organised negativity by certain vested interests.
Turning to India, China and Japan
The Government has turned to India, China and Japan for assistance to overcome the economic crises.
While the Government has sought several financial assistance packages from the Indian Government – a $ 400 million swap facility, $ 500 million oil credit line, and $ 1 billion credit line for food and pharmaceuticals – a similar attempt is to be directed towards China and Japan as well.
The Japanese Government, still reeling from the Sri Lankan Government’s move to renege from the East Container Terminal (ECT) development agreement and cancellation of the Light Rail Transit (LRT) project, has not responded positively to the request for assistance.
As for the Chinese, the Government a few weeks back finalised the Yuan 10 billion (equivalent to $ 1.5 billion) swap to boost its foreign reserves by the end of 2021.
Nevertheless, Finance Minister Rajapaksa informed the Cabinet last week that the Government should look at initiating a dialogue with China and Japan to secure facilities similar to that being finalised with India.
Basil in his Cabinet paper number 49 has stated that the Government should discuss a financial package with China and Japan since 20% of the country’s foreign debt is to these two countries. He has also noted that trade restrictions imposed were not beneficial as Sri Lanka imported most of its requirements from these countries. Therefore, the Finance Minister has proposed a discussion on trade concessions that could in turn improve the country’s liquidity.
It is in such a backdrop that Chinese Foreign Minister Yi arrived in the country yesterday (8).
A few days prior to Yi’s visit to Sri Lanka, the Sri Lankan Government even took steps to pay $ 6.9 million for the controversial Chinese organic fertiliser shipment after reaching a consensus with the Chinese parties. The case that was before Courts was dismissed earlier last week.
The Sri Lankan Government is also trying hard to finalise the three financial packages with India, which have been agreed by the Indian Government in principle.
However, Finance Minister Rajapaksa’s second attempt to meet with Indian Prime Minister Narendra Modi failed as the Indian Government decided to postpone the ‘Vibrant Gujarat’ summit that was scheduled to commence tomorrow (10) due to the increasing Covid-19 cases in the country.
Basil and Modi were expected to meet on the sidelines of the summit where Basil was expected to finalise India’s $ 1.9 billion financial package for Sri Lanka.
Basil, during his last visit to India early last month, could not meet Modi due to a last-minute change to the Indian Prime Minister’s schedule.
India’s Minister of External Affairs Dr. S. Jaishankar meanwhile has stated that he had greeted his Sri Lankan counterpart Professor G.L. Peiris for the New Year.
In a Twitter message, Dr. S. Jaishankar noted that a reliable friend, India, would support Sri Lanka in these difficult times.
He further observed that the two Government officials had also agreed to remain in close touch.
Indo-Lanka development
After many months of negotiations, the agreements to develop the Trinco Oil Tank Farm were signed on Thursday (6) evening.
The discussions on the Trincomalee Oil Tanks were first initiated by Energy Minister Udaya Gammanpila on 15 August 2020.
As per the new agreement, 24 oil tanks will be allocated for the business activities of the CPC and 14 tanks of the Lower Oil Tank Complex already in use by Lanka Indian Oil Company (LIOC) will be further leased for the company’s business activities.
The proposal further stated a development project would be implemented by a company named Trinco Petroleum Terminal (Pvt.) Ltd. for the remaining 61 tanks, of which 51% would be owned by the CPC and 49% by the LIOC.
“Signatories were Treasury Secretary (for Govt of Sri Lanka), Land Commissioner General, CPC, LIOC and Trinco Petroleum Terminal Ltd.; 85 of 99 tanks will be under Sri Lankan control, which were under Indian control,” Energy Minister Gammanpila tweeted.
According to the new agreement, the previous 99-year lease has been reduced to a 50-year lease, while also continuing to lease the 14 tanks currently used by the LIOC without any additions.
The next step is to formulate the business plan and feasibility report for the project while in parallel commencing the development of the oil tanks.
However, a Fundamental Rights (FR) petition was filed against the Trincomalee oil tank farm deal on Friday (7).
The petition was filed in the Supreme Court by National Bhikkhu Front Secretary Ven. Wakamulle Uditha Thera.
A petitioner has cited 47 people as respondents, including the Attorney General, the Cabinet, CPC, LIOC, and the Defence Secretary.
In the petition, Ven. Wakamulle Uditha Thera says the Cabinet has no right to approve such a deal.
Giving the boot
However, President Rajapaksa stole Basil’s thunder with the New Year bonanza with the announcement on Tuesday (4) morning that State Minister Susil Premajayantha was removed from his state ministerial portfolio. The removal came two days after he said the Government’s agricultural policies were a “failure,” a comment which he stood by, and reiterated that he had made “on behalf of the public”.
Premajayantha’s removal with immediate effect was announced early Tuesday morning by the President’s Media Division (PMD), which stated the removal was made by the President in accordance with the powers vested in him.
The President during last Monday’s Cabinet meeting has stated that the whole world was facing issues due to the pandemic and everyone in the Government needed to stand united to address the challenges faced by the country. Rajapaksa has stated that it was difficult to move forward when some members of the Government were publicly criticising the Government.
It was Minister Johnston Fernando who has spoken next, agreeing with the President. Fernando has said that he had raised this issue on many occasions. “We can respond to Opposition criticism, but how can we respond when our own Government members criticise the Government? State Minister Susil Premajayantha the previous day (Sunday) had gone to the pola (fair) and criticised the Government and its agriculture policy,” he has said.
Trade Minister Dr. Bandula Gunawardana has intervened and said that Premajayantha had also criticised him as the Trade Minister.
Another minister at the meeting has observed that Premajayantha was disgruntled over not receiving a Cabinet portfolio.
The President has then said he had given Premajayantha the portfolio he had requested. “He wanted education reforms and that was what was given to him. Instead of addressing reforms, he is going around criticising the Government,” the President has added.
However, the President had not indicated to the Cabinet that he planned to sack Premajayantha from his portfolio, which was announced the following day, Tuesday (4).
Speaking to the media at his office following the announcement, Premajayantha said that he had worked under three presidents and that his removal was not a “big thing”.
“I heard that I was removed from my state ministerial post. These are not big things. I became a minister in 2000. I have worked under three presidents. We are not usually informed of our removal. They do not have to give us reasons – the Executive President can appoint and remove us as he wishes. The media asked me at the Delkanda Market recently about the cost of living and the prices of goods. I said that prices were exorbitant because agriculture had failed in the country and that the policy decisions made with regard to the sector had failed. I spoke on behalf of the people there,” Premajayantha said.
Responding to media questions on whether he was surprised by the removal, Premajayantha said that it would have only been a problem if this decision was not taken.
“Considering the way this country is going, economically and otherwise, the destination is clear. By talking about that, we are speaking on behalf of the public. If we do not speak on behalf of the public, a Government cannot be corrected. The public has appointed us and we speak for them.”
Cabinet Co-Spokesperson Minister Dullas Alahapperuma during the weekly Cabinet press briefing last week observed that Premajayantha’s sacking was not a decision reached at the Cabinet.
When questioned by a journalist, Alahapperuma said that the President had removed the State Minister according to the powers vested in him. However, the Minister noted that he was saddened to hear about Premajayantha’s sacking.
“This was not discussed at the Cabinet meeting on 3 January; nor did the party (Sri Lanka Podujana Peramuna) discuss and make this decision,” he added.
Meanwhile, Prime Minister Rajapaksa has telephoned Premajayantha on Tuesday (04) and expressed regret over the latter’s removal from the state ministerial portfolio, Government sources said.
“I just found out that you have been removed from your post. It was Shiranthi who told me,” the Prime Minister has said. During the conversation, he had also recalled Premajayantha’s contribution towards his presidential bid in 2005 as the General Secretary of the UPFA when then President Chandrika Bandaranaike Kumaratunga had been reluctant to name him (Mahinda Rajapaksa) as the presidential candidate.
In response, Premajayantha had noted that he never had any issues with the Prime Minister. “I know very well that you had no role in this,” Premajayantha had told the Premier.
Meanwhile, SLFP Leader and former President Maithripala Sirisena said that the answer to resolving the issues faced by the country was not sacking Premajayantha.
“On Saturday Susil Premajayantha visited the market, something he does every week. A media person asked him about the Government. Premajayantha responded and spoke critically of the Government,” Sirisena said, adding that 24 hours later, the President had sacked Premajayantha from his portfolio.
“If the Government corrects itself and starts doing the right thing and solves issues faced by the people, it can prevent implosions,” Sirisena said.
He said that even during the period of the colonisers, the farmers had never endured the pain they were experiencing now.
He also reprimanded the State for failing to institute action against the incidents of gas explosions reported from households across the country.
“They did not even tell the Chairman and Board of Litro Gas to resign in the wake of these events,” said the former President.
“Susil was sacked for being critical at the market. But Nimal Lanza was even more critical of the State several days ago. No charge sheet was presented against Lanza and I am aware of the reason why they won’t lay a hand on Lanza – it is because he knows everything,” he added.
However, there have been a spate of removals and resignations in the Government during the past few months.
Ministry of Agriculture Secretary Prof. Udith K. Jayasinghe-Mudalige was removed from his portfolio last month, following his warning of a food crisis in Sri Lanka. His removal followed a number of resignations and removals of agriculture industry officials, including the resignations of Maj. Gen. Sumedha Perera and Rohana Pushpakumara, who held the post of Ministry Secretary, prior to Prof. Jayasinghe-Mudalige.
In September 2021, Paddy Marketing Board Chairman Dr. Jatal Mannapperuma resigned. In October, it was reported that Aluthgamage had been instructed to remove Prof. Buddhi Marambe from all posts the latter held in the Ministry, including from the post of the Chairman of the Policy Planning Committee of the Ministry, for allegedly criticising Government policies. Pesticides Registrar Dr. J.A. Sumith was also removed.
The red reshuffle
On the topic of removals, the President and incoming President’s Secretary Gamini Senarath are in the midst of planning a wide-ranging reshuffle of cabinet and state ministries as well as ministry secretaries and State institution heads. Given the plight of the country and the importance of bringing relief and implementing smart policies, the President is determined to appoint ministers and secretaries who will not fail to implement his policies, whether through incompetence or inaction.
It is learnt that several MPs are likely to be promoted to state ministerial positions, but the President remains determined to keep the size of the Cabinet below the constitutionally mandated cap of 30 members. A source close to the President’s Office said that several underperforming ministers were on the chopping block and that the new Cabinet appointments would consider a wide variety of sources, from prior performance to intelligence reports, to determine who would perform the best in the available Cabinet portfolios.
A similar process is being led by Senarath, a veteran of the civil service, to identify and remove ministry secretaries deemed to be ineffective and replace them with those who are able to “get things done” and help the Government to achieve results through the next three years of the President’s tenure.
Annual Road Map
As for the country’s economic path ahead, the annually published Road Map by the CBSL for the year 2022 will be announced only by end-March, after the special Six-Month Road Map announced in October 2021 comes to an end.
Cabraal has told the media: “The Road Map announced on 1 October 2021 covers the period from 1 October 2021 to 31 March 2022. The next Road Map will be announced just before 1 April 2022.”
The CBSL has announced an annual Road Map at the beginning of each year since 2008, setting out the monetary and financial sector policies for the year. However, in October 2021, the CBSL announced an additional Six-Month Road Map for ensuring macroeconomic and financial stability in order to address concerns regarding the shortage of foreign exchange in the domestic market, fears about a sharp depreciation of the Sri Lankan Rupee, and rising concerns about debt sustainability, particularly with the large outstanding values of ISBs.
The Six-Month Road Map stated that a “one-year horizon” from 1 January 2022 to 31 December 2022 would be announced by 4 January 2022, which is yet to be publicised.
In its Six-Month Road Map, the CBSL had disclosed that it would be receiving $ 11.45 billion in forex inflows over the period of October to December. From the above targeted foreign inflows, the Government of Sri Lanka and the CBSL will negotiate for $ 3.9 billion, and the remaining $ 6.95 billion involves forex inflows to the domestic forex market, with contributions mainly from merchandise exports ($ 3.3 billion), worker remittance ($ 1.8 billion), and service exports ($ 1 billion).
However, it appears that these targeted inflows have not been realised, with the official foreign reserve of the country falling to a 12-year low of $ 1.6 billion in November from $ 2.3 billion in October. The country’s reserve position was strengthened to $ 3.1 billion in December due to the CBSL drawing the ¥ 10 billion (equivalent to $ 1.5 billion) currency swap signed with China in March 2021.
Shortages continue
Opposition political parties meanwhile continue to highlight the shortages, price hikes, and queues to purchase essentials, which have become a norm in the country at present.
Farmers are warning of an impending food shortage by March while the pharmaceuticals sector has warned of a severe shortage of essential medicines in another month’s time.
The main Opposition SJB and Janatha Vimukthi Peramuna (JVP) last week blamed the President for the shortage of food commodities in the market as well as the impending food crisis.
SJB MP de Silva said: “Omicron or Delta or the pandemic are not responsible for this agriculture crisis. From the first day of the pandemic, farmers went to work. They did not stay at home because of the pandemic. This Government, which said ‘we know best’ and ‘we did best’ are responsible for this crisis. The President is 100% responsible for the food crisis. This is food that grows in Sri Lanka. As soon as the Government came to power, they let the rice mafia take control of the market and destroyed our ‘Shakthi Hal’ programme.
“We do not have a personal problem with rich rice mill owners, but the Government must build a competitive market for rice where consumers can buy rice at a fair price. The Government must play a role in regulating the market. They tried to do it with the Army, but that did not work. Now the people cannot eat, they do not have rice. I spoke to a person from Kalutara recently, who told me that her neighbours only eat one meal a day these days.”
Meanwhile, JVP General Secretary Tilvin Silva said the prevailing economic crisis and food shortages were due to the ignorant decisions by the Government and that the President should bear the responsibility for the food shortages.
“This is not a natural crisis. This has been caused by the ignorant actions of the Government. Food scarcity threatens people. Prices of vegetables are skyrocketing. There is scarcity of rice. Rice had to be imported. But the country is facing a serious dollar crisis. Are all these due to natural causes? No, this is a man-made crisis which was created by the President. Agriculture is in deep crisis and had gone beyond redemption. Still the Government is not ready to rectify its mistakes. The Government is trying to suppress this by removing officials. The President should take complete responsibility for this food crisis,” he told a news conference last week.
PM’s advice
Prime Minister Rajapaksa last week put to rest rumours that have been doing the rounds since last month that he was planning to step down as Prime Minister and retire from politics while making way for Finance Minister Rajapaksa to be appointed to the post.
Highly-placed sources said that the Premier had no intention of stepping down, and no amount of political whispers would push him to do so. “He won’t be resigning,” the source asserted.
Meanwhile the Premier had recently held a lengthy discussion about the challenges faced by the Government and country and a way out.
The Prime Minister during this discussion has explained that immediate action needed to be taken to stop the long queues being formed by people clamouring to get hold of essentials. He had drawn a comparison between the period 1970 and 1977 under the late Prime Minister Sirimavo Bandaranaike where the Government, despite making the right policy decision, was hated by the people due to the shortages of essentials and long queues to purchase their needs.
“A similar situation like now happened under Prime Minister Sirimavo Bandaranaike. There were import restrictions at the time. There were also efficient people like N.M. in the Government, but Mrs. B went wrong the moment people had to stand in queues to buy their essentials. If there were essential commodities available for the people even after purchasing at high prices, Mrs. B’s Government would not have been defeated. We are also facing the same issue now. Queuing to buy goods is a big problem for a democratic country. It is not good. First, these queues need to be stopped as the Government has to face additional issues the minute people have to stand in queues. People must have access to their essentials within the country even at a high price,” Prime Minister Rajapaksa has explained to the President.
It is learnt that President Rajapaksa had listened attentively to the Prime Minister’s explanation.
The Premier meanwhile has also taken a swipe at the President’s Viyathmaga saying that State institutions could not function by appointing people who hold paper qualifications alone. He has explained that heads of State institutions need to have a political sense, understand public sentiments and be practical.
However, the President too during a recent meeting with newspaper editors has observed that appointing professionals alone to positions would not address issues if they were unable to apply their professionalism and experience in a practical manner.
President Rajapaksa has said that while around 400 professionals from Viyathmaga were appointed to Government positions through a committee, the majority of them have failed to achieve the set targets due to shortcomings in understanding public sentiment and applying practical solutions.